Despite recent pushback from countries like China, Bitcoin has continued to enjoy increased acceptance in many places around the world. Its price has proved resilient as well, as it has reached new highs in the last week. However, that resilience and growing interest hasn't deterred political and financial leaders from attempting to downplay Bitcoin's potential. Former Federal Reserve head Ben Bernanke offered his own criticism on Monday, when he predicted that Bitcoin will never replace fiat currency.
Bernanke offered his assessment of the world’s most well-known digital currency during an address to attendees at Ripple’s Swell: The Future Is Here conference in Toronto. Bernanke, who served as Chairman of the Federal Reserve from 2006 to 2014, called Bitcoin a “mostly speculative venture” and suggested that:
“Bitcoin is an attempt to replace fiat currency and evade regulation and government intervention. I don’t think that’s going to be a success.”
Bernanke echoed the sentiments of longtime Bitcoin-skeptic and JPMorgan Chase CEO Jamie Dimon by predicting, “Eventually governments will take any action they need to prevent [that].”
According to a report in Fortune, Bernanke is not completely resistant to the idea of cryptocurrency. He is, after all, one of the keynote speakers at the ongoing Ripple conference. In his remarks yesterday, the former Fed Chair gave high marks to Ripple for its effort to cooperate with government regulators. In addition, Bernanke gave a nod to blockchain technology’s potential for improving payment systems.